convention for commercial
reciprocity between the United States and Spain, providing for an
intimate and favored exchange of products with the islands of Cuba and
Puerto Rico, which convention was signed at Madrid on the 18th ultimo.

The negotiations for this convention have been in progress since April
last, in pursuance of the understanding reached by the two Governments
on the 2d of January, 1884, for the improvement of commercial relations
between the United States and the Spanish Antilles, by the eighth
article of which both Governments engaged "to begin at once negotiations
for a complete treaty of commerce and navigation between the United
States of America and the said Provinces of Cuba and Puerto Rico."
Although this clause was by common consent omitted from the
substitutionary agreement of February 13, 1884 (now in force until
replaced by this convention being carried into effect), the obligation
to enter upon such a negotiation was deemed to continue. With the best
desire manifest on both sides to reach a common accord, the negotiation
has been necessarily protracted, owing to the complexity of the details
to be incorporated in order that the convention might respond to the
national policy of intercourse with the neighboring communities of the
American system, which is outlined in my late annual message to the
Congress in the following words:

The conditions of these treaties should be the free admission of
such merchandise as this country does not produce, in return for
the admission free, or under a favored scheme of duties, of our
own products, the benefits of such exchange to apply only to goods
carried under the flag of the parties to the contract; the removal
on both sides from the vessels so privileged of all tonnage dues and
national imposts, so that those vessels may ply unhindered between
our ports and those of the other contracting parties, though without
infringing on the reserved home coasting trade; the removal or
reduction of burdens on the exported products of those countries
coming within the benefits of the treaties, and the avoidance of
the technical restrictions and penalties by which our intercourse
with those countries is at present hampered.

A perusal of the convention now submitted will suffice to show how fully
it carries out the policy of intercourse thus announced. I commend it to
you in the confident expectation that it will receive your sanction.